Abstract: A system for compressing digital data at one byte-per-cycle throughput by removing redundancy before storage or transmission. The system includes an improved Ziv-Lempel LZ1 process that uses a history buffer to save the most recent source string symbols for use in encoding the source symbols as "match-length" and "match-offset" tokens. The match-length code symbols are selected from two groups of buckets that are assigned variable-length prefixes for the shorter, more probable match-lengths and a fixed-length prefix code for the longer, less probable match-lengths. This exploits a transition from Laplacian match-length probability distribution to Uniform match-length probability distribution for longer match-lengths. The offset code field length is reduced during start-up to improve start-up compression efficiency during filling of the history buffer. The match-length code book is limited to a maximum value T<256 to limit latency and simplify the process.